As a non-trader, I find the technical aspects of how these trading and clearing operations function to be fascinating in their complexity and efficiency. I give you a hard time on your politics posts, but these posts are the real reason that I read your blog. I think crypto is mostly snake oil, but time will tell. Different, with more technology doesn't always or even frequently mean better.
No, because in theory the blockchain network would do it for them. Their clearing model is decentralized where CME/ICE are centralized. Theory being that the network absorbs a lot of the costs and so does the way that the underlying token supporting the network. Since the token is programmable, it's possible to write software on top of it.
https://nymag.com/intelligencer/article/three-arrows-capital-kyle-davies-su-zhu-crash.html
As a non-trader, I find the technical aspects of how these trading and clearing operations function to be fascinating in their complexity and efficiency. I give you a hard time on your politics posts, but these posts are the real reason that I read your blog. I think crypto is mostly snake oil, but time will tell. Different, with more technology doesn't always or even frequently mean better.
Jeff, check out this article about these two geniuses below.
Interesting article Jeff, but wouldn't that cost FTX a fortune to clear margins every 30 seconds?
Sad, but has nothing to do with clearing. They were picking up nickels in front of a steam roller and using lots of leverage to do it.
No, because in theory the blockchain network would do it for them. Their clearing model is decentralized where CME/ICE are centralized. Theory being that the network absorbs a lot of the costs and so does the way that the underlying token supporting the network. Since the token is programmable, it's possible to write software on top of it.